TMI Blog2017 (8) TMI 1241X X X X Extracts X X X X X X X X Extracts X X X X ..... disallowance u/s 40(a)(ia) of the Act to the same amount again. Therefore, the A.O. is not justified to add back the same to the total income of the assessee. In the result the grounds of appeal of the Revenue are dismissed. - ITA No. 4312/Del/2014 - - - Dated:- 16-8-2017 - Shri Amit Shukla, Judicial Member And Shri L. P. Sahu, Accountant Member Appellant by : Smt.Apoorva Karan, CIT (DR). Respondent by : Sh. Anil Bhalla, CA ORDER Per L. P. Sahu, Accountant Member This appeal filed by the Revenue is directed against the order dt. 27.05.2014 of the Ld. CIT(A)-V, New Delhi relating to Assessment Year (A.Y.) 2005-06 on the following grounds of appeal. 1. On the facts and in the circumstances of the case, the Ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 15-06-2004 15319 3. 30-06-2004 21072 4. 30-06-2004 5853 5. 30-12-2004 368741 6. 01-06-2004 624285 7. 01-12-2004 699230 8. 16-08-2004 18123 9. 16-08-2004 123567 10. 16-08-2004 127096 11. 16-08 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bove. I have reason to believe that an amount to the extent mentioned above chargeable to tax has escaped assessment for the assessment year 2005-06 and. hence, clearly attracts the provisions of clause (b) of Explanation 2 to Section 147 of the IT Act, therefore, notice u/s 148 of the Act is being issued. 2.1. In the course of original assessment proceedings u/s 143(3) of the Act the A.O. had disallowed the entire amount of interest paid to ABN Amro Bank Stockholm Branch of ₹ 1,84,91,00,000/- on term loan taken. In the reassessment proceedings the A.O. has observed that on the basis of reasons recorded (supra) that the assessee has paid interest to ABN Amro Bank Stockholm Branch without effecting TDS u/s 40(a)(ia) of ₹ 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e the same should have been disallowed U/S 40(a)(i) of the Act. From the submissions made it is observed that the AO at the time of the original assessment order U/S 143(3) of the Act dated 31.12.2007 had disallowed the entire interest claim of ₹ 1,84,91,00,000/- on term loan. The interest paid to ABN Amro of ₹ 14,73,65,750/- was included in the interest amount of ₹ 1,84,91,00,000/-. Therefore, as things stood at the time when the AO issued notice for re-opening U/S 147/148 on 15.1.2009, the entire interest paid to ABN Amro Bank already stood disallowed in the assessment order, which was pending decision at the end of first appellate authority. As regards the other reason recorded for re-opening which was in respect of an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowing the entire interest at the time of original assessment and therefore now he cannot resort to reopening u/s 147 to disallow the amount same, though on a different premise, which he had not resorted to at the time of original assessment. That this would constitute a mere change in opinion which is not permitted under the law as settled by the Hon'ble Supreme Court in Kelvinator India Ltd (supra). Therefore based on the above discussion the AO was not justified in reopening of assessment u/s 147 and hence, the Ground No 1 is allowed in favour of the assessee. 5.1. Ld. CIT(A) has given a well reasoned order, which do not require any interference. In the first assessment proceedings u/s 143(3) of the Act the entire amount o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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